Making Local Soybean Value Clear
Growers getting paid by the bushel (quantity) hides the true value of soybean varieties. Livestock ration formula software makes it possible to find the soybeans with locally exceptional nutrient levels and maximum essential amino acid value.
Ration Formulation Software Shows:
$$ Billions at Stake with Variety Selection1
| Soybean Sample No. | Feed Cost, $/ton | Difference from baseline in $/ton | Est. Feed Cost Difference/Hog (vs. Baseline) |
|---|---|---|---|
| 1 | 162.72 | Baseline | Baseline |
| 2 | 162.63 | -0.09 | $ -0.03 |
| 3 | 162.8 | +0.08 | $ +0.03 |
| 4 | 161.49 | -1.23 | $ -0.41 |
| 5 | 160.96 | -1.76 | $ -0.58 |
| 6 | 160.99 | -1.73 | $ -0.57 |
| 7 | 160.04 | -2.68 | $ -0.88 |
| 8 | 159.84 | -2.88 | $ -0.95 |
| 9 | 160.09 | -2.63 | $ -0.87 |
To show how much money hides inside soybeans the soybean checkoff and nutritionists used ration formulation software commonly used by livestock nutritionists. Soybean samples were mathematically processed into simulated soybean meal. By entering the amino acid data into ration formulation software – like customers do – it becomes easy to compare quality where it really counts: on a local basis, one variety at a time.
The relative nutrient value in this model differed by up to $0.95 cents per hog. These are approximations and the payoff isn't visible to soybean farmers. But the value of quality is clear to the producers who buy soybean meal. Selecting seed varieties with a track record of locally high quality can make a big difference to a soybean customer.
| Reduced Feed Cost/Pig Fed1 |
Extra Value/Bu2 | Reduced Feed Cost/Broiler Fed1 |
Extra Value/Bu2 | |
|---|---|---|---|---|
| Average of 10 samples from top 1/3 of samples | $(1.51) | $0.76 | $(0.05) | $1.28 |
| Average of 10 samples from mid-point of samples | $(1.04) | $0.51 | $(0.04) | $0.97 |
| Average of 10 samples from bottom 1/3 of samples | $(0.53) | $0.25 | $(0.03) | $0.66 |
1 Illinois Soybean Association analysis of USB soybean sample data.
2 Cost per head fed is an estimate of the difference in cost to feed the animal and phase fed as compared to a soybean sample within the bottom 1% of samples that were submitted based on cost per head fed.
3 Value per bushel is an estimate of value based on placing the feeding value back to the amount of soybean meal consumed and then to a ton of soybean meal assuming 45.6 bushels of soybeans will produce 1 ton of soybean meal